On January 12, Apple announced that its next generation of Apple Foundation Models will be powered by Alphabet’s Gemini AI and cloud infrastructure. Under the agreement, Siri will be rebuilt on Gemini’s LLM technology and integrated into Apple Intelligence features later this year. Apple emphasized that the deal gives it the “most capable foundation” for advancing on-device and Private Cloud Compute workloads while preserving its industry-leading privacy controls. With over 2.2 billion active devices in the field, the partnership instantly scales Gemini’s reach into everyday consumer use and accelerates Apple’s ability to deliver a significantly smarter assistant across its hardware and services ecosystem.

Bank of America analyst Wamsi Mohan maintained a Buy rating on Apple stock and raised his price target to $325, citing expectations that Apple will report a record December quarter. Mohan forecasts first-quarter iPhone unit sales of 85 million—up 2 million from prior estimates—and 54 million units in the second quarter. He projects iPhone revenue growth of 17 percent year-over-year in the March quarter and double-digit Services revenue expansion, driven by both App Store and subscription businesses. Mohan also identified two key catalysts for later in 2026: the launch of a foldable iPhone and deployment of the AI-enhanced Siri powered by Gemini.

Separately, JPMorgan Chase recorded a one-time charge in its fourth quarter tied to the transfer of the co-branded Apple Card program from Goldman Sachs to JPMorgan. Although the expense weighed on JPMorgan’s investment-banking division profits, Apple’s credit-card services remain a fast-growing part of its financial ecosystem. The transition is expected to broaden the card’s customer base and solidify Apple’s position in the branded-payments market, supporting higher take-rates on interest and transaction fees as part of its Services revenue stream.